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First Time Buyer

First-Time Buyer Mortgage Broker

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Getting your first mortgage is one of the biggest financial decisions you'll ever make, and it doesn't have to be overwhelming. We'll guide you through every step.

first time buyer UK home

Securing a first-time buyer mortgage involves more moving parts than most people expect. Between understanding how much you can borrow, comparing hundreds of mortgage products, submitting the application, and coordinating with solicitors and estate agents, it can feel like a full-time job on top of everything else. For more information, see the government affordable home ownership schemes.

That’s where we come in. As whole-of-market mortgage brokers, we compare every available mortgage product from across the entire UK lending market, not just a handful of lenders, to find the most suitable deal for your specific circumstances. We handle the application, liaise with the lender on your behalf, and keep you updated every step of the way.

Whether you’re buying a flat, a house, a new build, or using a government scheme, we have the expertise to make the process as straightforward as possible.

How much can I borrow as a first-time buyer?

Most lenders will offer between 4 and 4.5 times your annual income as a first-time buyer. Some specialist lenders will stretch to 5 or even 5.5 times income for applicants in certain professions or with strong financial profiles. The exact amount depends on your income, your outgoings, your credit score, and the deposit you have available.

As a rough guide, if you earn £40,000 per year, you could borrow between £160,000 and £180,000 with most lenders. With a 10% deposit on a £200,000 property (£20,000), you would need a mortgage of £180,000, which is at the top of that range. A larger deposit reduces the loan-to-value ratio and often unlocks better rates.

How much deposit do I need?

The minimum deposit for most first-time buyer mortgages is 5% of the purchase price. On a £250,000 property, that is £12,500. However, putting down 10% (£25,000) gives you access to significantly better rates and a wider choice of lenders, saving you money over the life of your mortgage.

Government schemes such as the Lifetime ISA (LISA) can help you build your deposit faster, the government adds a 25% bonus on top of your savings (up to £1,000 per year) which can be used towards a first home purchase. We can advise on how to make best use of these schemes alongside your mortgage application.

Government schemes for first-time buyers

There are several schemes designed to help first-time buyers get onto the property ladder:

  • Shared Ownership, Buy a share of a property (between 25% and 75%) and pay subsidised rent on the remainder. You can increase your share over time through a process called staircasing.
  • First Homes scheme, Newly built homes offered at a minimum 30% discount to eligible first-time buyers. The discount is locked into the property, meaning future buyers also benefit.
  • Lifetime ISA (LISA), Save up to £4,000 per year and receive a 25% government bonus (up to £1,000 per year) to use towards a first home purchase of up to £450,000.
  • Mortgage Guarantee Scheme, Enables buyers with a 5% deposit to access 95% loan-to-value mortgages from participating lenders, with the government providing a guarantee to the lender.

We will assess which scheme, if any, is most beneficial for your situation and help you apply alongside your mortgage.

What We Do For You

Source The Best Deals

As a whole-of-market broker, we have access to thousands of mortgage products from over 90 lenders, including exclusive broker-only rates that are not available if you go directly to a bank. We analyse your income, outgoings, credit profile, and deposit to identify the lenders most likely to approve you, then compare their products to find the most competitive rate available to you.

This matters more than many first-time buyers realise. A difference of just 0.5% in your interest rate on a £200,000 mortgage over 25 years can amount to thousands of pounds in savings. We do the analysis to make sure you’re on the right deal from day one.

Provide Additional Services

A mortgage is only one part of the home-buying picture. We can also help you with:

Life insurance and critical illness cover, most lenders require you to have life cover in place. We can advise on the most appropriate protection for your circumstances.


Buildings and contents insurance, required by your mortgage lender from the day you exchange contracts.


Conveyancing referrals, we work with trusted solicitors and conveyancers who understand the timelines involved in mortgage applications.


Survey guidance, we can explain the different types of property survey and help you decide which is appropriate for the property you’re buying.

Having all of these pieces in place before you need them keeps the process moving smoothly and reduces the chance of delays close to completion.

Work Quickly and Efficiently

We know that in a competitive property market, speed matters. We can typically arrange a mortgage in principle for you within 24 hours of receiving your information, giving you something to present to estate agents immediately when you find the right property.

Once you have an offer accepted, we submit your full mortgage application promptly and manage the lender relationship throughout, chasing updates and responding to any queries on your behalf. Most of our clients receive a formal mortgage offer within 2–4 weeks of application. We are always available to answer your questions, you will have direct access to your dedicated adviser throughout.

Ready to take your first step onto the property ladder?

Whether you have a specific property in mind or you’re just starting to explore your options, the best first step is to understand exactly how much you can borrow and what your monthly repayments would look like. A no-obligation conversation with one of our advisers will give you a clear picture of where you stand and what your next steps should be.

We work with first-time buyers at every stage, from the very first question through to picking up the keys. Book your free consultation today and let’s get your mortgage journey started.

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Check out our frequently asked questions below and if you have any of your own then get in touch and we'll happily answer those for you!

First-Time Buyer FAQs

Do I qualify for a first-time buyer mortgage?

You would be classed as a first-time buyer if you have never owner a property before. In some cases, if you have previously owned a property in the past, but have not been in the property market for quite some time - usually over 3 years, then some lenders may consider you to be eligible for their first time buyer products. 

If you are not a first time buyer, but are living with a partner who does qualify for this type of mortgage, you may be able to jointly apply for a first time buyer mortgage.

How does the process work for a first-time buyer?​

The process for a first-time buyer doesn't really differ at all compared to other types of buyers as the transaction follows exactly the same steps. The only real difference is that the process will be new to you compared to someone who might have moved home 5 times now. 

I don't know how much I can borrow from a lender, where do I start? ​

Lenders all have their own affordability calculators which you can use to get an idea of how much you can borrow. However, it's always best to speak to a qualified adviser to understand how much you can borrow, as we have the experience and knowledge to understand which lenders would be best suited to your particular case and how to calculate your income according to each lender's criteria, as this is a factor that can vary quite significantly from lender to lender depending on whether you're self-employed, employed, have two jobs, receive bonuses/commissions/overtime and so on. 

 

We will go into a bit more depth to get an understanding of what your goals are, what sort of properties you may be interested in and to establish a clear budget with you. Once we've got a clear idea of your goals and circumstances, we can then narrow it down and find the best lender to suit your circumstances and then we'll look to obtain an agreement in principle from that lender. 

What is an agreement in principle?​

This is a term you'll hear quite frequently when you start looking at property and you may also find that it is also referred to as a 'mortgage in principle' or a  'decision in principle'.  This is where a lender will search you credit file and assess the details of your case such as your income, employment, outgoings and your personal circumstances. Once they've assessed these details they will then produce a decision which will state whether they are able to lend to your or not and if so, how much they are willing to lend.

The majority of lenders carry out a soft credit search at the decision in principle stage and so this wouldn't have an impact on your credit score or file. If for any reason we need to obtain an agreement in principle from a lender who conducts a hard search, we will make you aware of this so that you can decide if you'd like to go ahead as a hard search will have an impact on your credit score and will be visible to other lenders.

 

Once we've obtained an agreement in principle for you, it is usually valid for 3 months or 90 days but this does depend on the lender as some agreements are only valid for 30 days. 

Now that you have an agreement in principle in place, you're in a really good position to start viewing properties and you'll be able to put in an offer on a property now that you know your budget. Estate agents are also likely to ask whether you've obtained an agreement in principle from a lender as this demonstrates to them that you are a serious buyer and that you are in a position to proceed with a purchase.

How much deposit do I need to have?​

Typically, the minimum deposit required is 5-10% of the value of the property, but this is entirely dependent on your personal circumstances and the property that you are looking to purchase.  

Lenders will also assess your credit history and carry out credit scoring to determine if you are eligible to put down a deposit as little as 5-10%.

If you do have a larger deposit then it can potentially be more in your favour as you may also benefit from lower interest rates as larger deposits present a lower risk to the lender compared to smaller deposits.

What is 'loan to value' (LTV)?

The loan to value ratio, is the amount of funds you are able to borrow, expressed as a percentage of the property value.

For example, if you were to purchase a property valued at £100,000 and needed to borrow £95,000 this would be a 95% LTV.

 

As a general rule of thumb, the lower the LTV (i.e. the more deposit you put down) the lower the interest rate would be. 

 

How do I check my credit file?

We would always suggest taking a look over your credit file at least twice per year just to make sure that everything is in order and all of your payments have been kept up to date with any provider.

We always recommend using Check My File to view your credit file as they pull all of your records from 3 credit reference agencies - Equifax, Experian and Trans Union. This means that you can check all of the information that's currently held about your credit conduct. It's not uncommon for each credit reference agency to hold different information about you, which is why its important to check the information held as lenders do use different agencies to conduct the searches and some even use all 3 agencies.

If there's anything you're not sure on then we're always happy to look over credit files before we proceed with an agreement in principle - in fact, we encourage it!

 

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